DOMO, INC. — Form 10-Q

On June 12, 2026, Domo Inc. (Delaware and Utah entities) executed a forbearance agreement with lenders including BlackRock and Tennenbaum Capital Partners, administered by Wilmington Trust. Domo anticipates breaching financial covenants under its August 2023 Amended and Restated Loan and Security Agreement for Q1 FY2027 (quarter ending April 30, 2026) and subsequent quarters. In exchange for forbearance through July 31, 2026 (extendable to August 31 if Required Lenders agree), Domo pays a forbearance fee of $5.834964 million (4.0% of outstanding credit extensions). The agreement mandates Domo maintain $10M minimum unrestricted cash, provide lenders full access to sale processes, and apply 100% of net proceeds from any "Qualified Sale Transaction" to repay all obligations. An extension fee of 10% of outstanding principal becomes due if the Initial Stop Date is extended. The forbearance period ends earlier upon consummation of any sale, expiration of a definitive purchase agreement, or November 30, 2026.